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Record Cash Flows Part of Latest EVI Financial Results

Further strengthens balance sheet with higher revenue, gross profits

MIAMI — Commercial laundry and drycleaning equipment distributor EVI Industries Inc. reports having generated record revenue, gross profit and operating cash flows for the nine-month period ended March 31.

The company trades publicly on the New York Stock Exchange: EVI. Through a buy-and-build growth strategy and entrepreneurial culture, EVI Industries has, since 2016, completed 25 acquisitions, expanded into new geographies, broadened its OEM representations, and implemented advanced operating technologies, among other things.

In combination, the 26 businesses employ 750 employees, including over 190 sales professionals and over 400 technicians and service support personnel.

Executing its strategy has resulted in EVI’s revenue, net income and Adjusted EBITDA growing at compounded annual rates of 34%, 16% and 31%, respectively.

“We are a long-term focused company with ambitious growth plans,” says Chairman and CEO Henry M. Nahmad. “Our confidence is derived from early successes combined with financial strength and wherewithal, the reputation of a knowledgeable and high-quality buyer and builder of businesses, the future impact of promising technologies, and a heavily invested leadership team to guide (us) into the future.”

During the nine months ended March 31, EVI saw increases in revenue (1% to a record $263 million) and gross profit (3% to a record $77.9 million). Gross margin increased 40 basis-points to a record 29.6% (compared to 29.2%).

Operating income was $8.0 million compared to $12.5 million. Net income was $3.6 million, or 1.4%, compared to $7.8 million, or 3.0%. Adjusted EBITDA was $16.4 million, or 6.2%, compared to $19.2 million, or 7.4%.

There were record operating cash flows of $20 million for the nine months.

For the three-month period ended March 31, revenue decreased 11% to $84.0 million and gross profit decreased 3% to $25.8 million. Gross margin increased to a record 30.7% (compared to 28.3%).

Operating income was $2.4 million compared to $4.5 million. Net income was $1.0 million, or 1.1%, compared to $2.8 million, or 2.9%. Adjusted ABITDA was $4.9 million, or 5.9%, compared to $6.7 million, or 7.2%.

EVI says the decline in revenue during the third fiscal quarter is “primarily attributed to the irregular cadence of industrial revenue and in part to delays in the completion of certain large on-premise laundry customer sales order contracts.”

EVI Sets Records with Recent Financials

Have a question or comment? E-mail our editor Bruce Beggs at [email protected].